Investigating Consumer Preference Between Traditional Retail Industry and Online Shops in Puerto

Princesa City

Alindada, Christian Felix

Pablico, Paolo

Arzaga, Jeonna

Cena, Angela

Vito, Christina Albert

Ms. Sherrizzah Paredes

Accountancy, Business, and Management

Laboratory Senior High School

Palawan State University

February 13, 2023

 CHAPTER 1

Introduction

Background of the Study

In this challenging economy, many entrepreneurs are looking on how to promote and position their

businesses and common question is that, should they establish an offline or online business, or both? However,

not only entrepreneurs are making decisions, yet consumers themselves are either now taking into consideration

whether to purchase goods online or offline.

Currently, the rise of online or e-commerce has altered the shopping industry and is continuing to

influence the way consumers obtain goods. The advancement of technology opened doors of good opportunities

to the seller to reach the consumers in much faster, easier, and in economic way. E-commerce (Electronic

commerce) allows consumers to directly buy goods and services over the internet through a virtual shop. Some

of the leading online stores currently in the Philippines are Lazada, Shopee, Zalora, OXL (formerly Sulit.com),

and many more.

On the other hand, purchasing of products through traditional market/retail shop has been continuing

since years. Retail is the process of selling goods and services to customers through multiple channels of

distribution. Retail stores may be small or big, but they mostly operate in the same line as “purchasing to sale”

and these may include department stores, supermarkets, boutiques, malls and marts. Retail form of business is

as old as civilization and is the most basic form of business.

The number of customers buying products in traditional retail stores continues to decline as a large

majority of consumers shift their shopping activities to various online platforms. Amazon and eBay (EBAY)

have been some of the biggest beneficiaries of this shift. According to research done last year by analytics firm

comScore (SCOR) and UPS (UPS), shoppers now make 51% of their purchases online, compared to 48% in

2015 and 47% in 2014(Kitonyi,2017).

 In this contemporary world, consumer loyalty depends upon the consistent ability to deliver quality, true

value and satisfaction. Some may go for offline shopping, some for online and many go for both kinds of

shopping. While making any purchase decision, consumers should know the medium to purchase whether

online or offline purchasing. Consumers should decide on the channel for them which can best suit to their need

and wants and which can satisfy them. In this competitive world, how consumers can decide the medium for

their purchase of goods is very important to understand from a managerial point of view.

Along this line, this study was conceptualized to know the purchasing decisions of consumers either

traditional retail or online shopping. Furthermore, the researcher will also investigate the effect of online

shopping popularity on traditional retail industry in Puerto Princesa City.

Statement of the Problem

In today's environment, consumer loyalty is based on a constant capacity to offer quality, actual value,

and satisfaction. Some people prefer to buy offline, while others prefer to shop online, and many people do

both. When making any purchase choice, the consumer should be aware of the medium of purchase, whether

online or offline. Consumers should choose the channel that best meets their needs and desires and will please

them. In today's competitive environment, understanding how consumers choose the specific channel through

which they purchase items is critical from a management standpoint.

Along these lines, this research will be conducted to learn about customers' purchase decisions, whether

through traditional retail or internet shopping. Furthermore, the researcher will examine the effects of internet

purchasing on the traditional retail business in Puerto Princesa City.

Research Questions

1. What is the demographics profile of the respondents?

2. What is the effect of online shopping popularity to the traditional retail industry?

3. How do the shoppers/consumers describe online shopping?

4. Is there any significant effect between the online shopping popularity on traditional retail industry?

Aim and Objectives

 The study aims to understand the effect of online shopping popularity to the traditional retail industry.

Specifically, it aims to answer the following objectives:

1. What is the profile of the respondents in terms of:

1.1 Gender

1.2 Age

1.3 Social Class

1.4 Civil Status

2. How may the shoppers/consumers described online shopping in terms of:

2.1 Accessibility

2.2 Convenience

2.3 Better Prices

2.4 Variety

3. How may the shoppers/consumers described traditional shopping or in-store in terms of:

3.1 Accessibility

3.2 Convenience

3.3 Better Prices

3.4 Variety

4. Is there any significant effect between the online shopping popularity on traditional retail industry?

Significance of the Study

Findings of the study will be significantly and be of great benefit to the following:
 Students. The study will aid their curiosity regarding purchasing decisions of consumers in Puerto

Princesa City between traditional retail and online shopping. As the result of this research contains of

purchasing decisions of consumers, students in business field could use it as a related literature review which is

in-line on their respective topics. Also, this study will help also students to gain more knowledge in this case

and be better consumers.

Businesses. The findings in the study will help marketers or business owners to compare or differentiate

which is better, traditional retail (physical buying-selling) or e-commerce (online shopping). This can help them

to formulate strategies to make their business successful in the long run.

Consumers. The result of the study will let them understand the importance of traditional retail or e-

commerce in purchasing things. Also, will give them insights about what are the cost and benefits of both

traditional retail and online shopping.

Scope and Delamination

This research study focused mainly on determining the purchasing decisions of consumers in Puerto

Princesa City in terms of traditional retail and online shopping. Also, in this research, the researcher is going to

concentrate on the online shopping popularity effect to the traditional retail and market of chosen place which is

Puerto Princesa City, Palawan. Meanwhile, the population with this respondent will be 100% of the population

of consumers in online and physical stores, with this, it is equivalent to 50 online shoppers and 50 physical store

shoppers. In addition, the study will be in the span of 1 month of getting the information through surveys. This

research will cover the academic year 2022-2023.

 Chapter 2

Theoretical Framework

Theoretical Framework

The theory of the study mainly covers aspects of purchasing decisions which affect a person who

decides whether to buy in traditional retail or online shopping. The theories that have been covered are related to

factors which affect the consumers or customers’ decision-making process to engage either traditional retail or

online retail. This is where the researcher anchored her study.

In the study of Kotler (2005), it was stated that consumers follow a certain process before they come up

with their purchasing decision. This study later on came up with a theory which mainly explained the steps in

every purchasing situation that the consumers are into, the Theory of Kotler “Buyers Decision Process”. As

shown on the figure below (Figure 1.1 Buyer Decision Process), the process consists of five stages; namely

need recognition, information search, evaluation of alternative, purchase decision, and post- purchase

behavior. This theory can be connected to the consumers’ purchasing of products in either traditional retail or

online shopping.

Figure 1.1 Buyers Decision Process

The first stage or step of the process is the need recognition where in consumers identify their need as to

why they were going to buy a certain product in a specific marketplace. Needs are activated by either internal or

external stimuli. Internal stimuli have something to do with the consumers’ normal needs (feeling hunger,

thirsty, etc.) while external stimuli could be a smell that triggers hunger, or an admiration for an object. It is

somehow representing the needs and wants of the buyer or consumer. This is the reason why researcher have
come up with the set of commodities or products as one of their independent variables to test whether the

consumers recognize their needs on these things and most importantly to know where these needs are

recognized, in either traditional retail or online shopping.

The second step is information search where in it search the information of the product needed by the

consumer or customer. Information could be obtained through personal sources, commercial sources, public

sources, and experiential sources. Personal sources are basically the people that the consumer is familiar with in

a private manner, such as family, friends, and so on. Commercial sources are the broad marketing messages that

companies send out in various ways. Public sources are on the other hand media, organizations, and social sites

that the consumer can extract information from regarding a specific product. The information which are

searched are link with the different factors affecting the buying attitude or behavior of the consumer whether to

buy the product or not and buy it either in physical store or online shopping. These factors involved pricing,

delivery, brand beliefs, accessibility, and availability of stocks, risk and reliance. These factors are one of the

bases of the researcher on coming up or rather, on identifying with the purchasing decision of their respondent.

The third step is the evaluation of alternatives where the consumers are looking for other varieties of the

product. This stage gives more emphasis on the availability of products present in a specific marketplace

(physical store or mall or online market/e-commerce). According to Kotler (2005), there are various decision

rule which can help consumers when selecting an alternative, ranging from careful calculations to impulse or

intuition decision. This means that consumers’ evaluation process is often dependent on the situation and the

individual consumer.

The fourth step is the purchase decision which is mainly dependent on the result of the evaluation

process. The consumers decide to buy the product in a certain marketplace (talking about traditional or online

shopping) which is more favorable according to the products’ attribute, convenience, decision rule or brand

preference in the evaluation process. And the last step is the post-purchase behavior which involves further

actions based on the consumer’s satisfaction or dissatisfaction after the product is bought either in offline or

online market.
 The origin of the theory is far from the present time but is still used by different researchers today. The

accuracy of the theory is still accepted in the present studies as what the researcher have been searching and

studied.

Review of Related Literature and Study

According to Sa’di Gulistan, “A traveler without a knowledge is like a bird without a wing.”. This

saying has acknowledged that no work can be meaningfully conceived and soundly accomplished without

thoroughly studying what already exists in relation with this. It is the study of already established knowledge

pertaining to the area that enables us to perceive clearly what is already lit up in that area and what remained

enveloped in darkness. Through this, researchers have come up with something to study about which is worth

the time and effort.

An extensive literature review has been made in order to gain more knowledge of the research about

traditional retail and online shopping. The review clarifies and simplifies the purchasing decisions whether the

corresponding respondent preferred traditional or online shopping. In connection with this, the review has

involved below an in-depth knowledge of the key factors important to the study.

Choosing between Traditional Retail and through Online Shopping became a difficult decision to make.

There are a lot of costs and benefits between traditional and e-commerce that creates a big decision between

these two variables (Shackleton, 2016). In the case of offline shopping, products and services can be used

immediately, whereas in the case of online shopping, customers have to wait for the courier company to deliver

the product.

Preferences/purchasing decision for shopping online or offline were shown to vary across products,

consumers, and stages of the shopping process. When attributes such as large selection and shopping quickly

were predominant, online shopping was preferred. When attributes such as personal service and ability to see-

touch-handle the product were predominant, offline shopping was preferred (Junhong Chu, 2013).

Levin, and Weller (2015), for the study two samples of size 199 were used from a large mid-western

American university and an online survey panel. The study found that the preferences for shopping online or
offline were shown to vary across products, consumers, and stages of shopping experience. When attributes

such as large selection and shopping quickly were predominant, offline shopping was preferred.

Traditional Retail

Some studies found that the products that consumers feel they need to touch or try on are products that

require a presence or at least purchase within an offline channel. It found that being able to personally encounter

a product prior to purchase is an underlying factor of the preference for an offline shopping method for products

such as clothing. These are the things that make offline shopping or also known as the traditional retail still

alive. (Heinemann and Schwarzl, 2010). The ability to see, touch and feel products as well as take items home

immediately is the benefits that take into account of traditional retail (Skrovan, 2017). It has long been

established that the environment and layout of a physical store has an immense influence on what customers

buy. Numerous studies taking place have suggested that layout is one of the most influential aspects when

customers are making a purchase decision (Larkin, 2015).

But despite of being active in the social networking community as the same time in the e-commerce

world, Filipinos retain “traditional shopping habits”, according to the Reader’s Digest survey. It also shows that

only 17% of the 1000 Filipino respondents changed their shopping habits, regardless of the rising number of

online stores in the last two years. Only 7% of Filipinos trust online transactions regarding brands or products as

the survey said. This implies that even e-commerce is bringing convenience to everybody, it cannot hide the

howling doubts of the people from the product its offering. (Manila Times Admin, 2013)

Koo and Lee (2011) proposed an inter-relationship among dominance, energetic and tense arousal,

pleasure and their impact on intention. Results from a survey of 406 consumers (217 from offline store

customers and 187 online store) demonstrated that dominance had significant positive or negative effect on

pleasure and intension under both offline and online environment; Effect of dominance on tense arousal was not

statistically significant in an online shopping environment. Moreover, Iyer and Eastmen (2014) found that the

population of senior who are more literate, more knowledgeable and who are more aware of the technology and

those who have a positive behavior towards online shopping and internet are more into online shopping. But the
population of seniors who are less aware of the internet and the shopping sites are less involved in the shopping

sites because they do not have a positive attitude towards online shopping rather, they are much more interested

in offline shopping.

According to the research of Aniket Khatwani (2016), when compared to online shopping, traditional

shopping is a secure option to shop. You know from where does the things come, nobody can steal your data,

even you can feel the desired quality and can set the product as simply seeing pictures doesn’t work every time.

These things make over online shopping. Also, there is disadvantage that online stores ship within a certain area

for free but many times if you are located outside of city or area you need to pay hefty shipping prices.

Online Shopping

According to news written by Gregory Karp (2016), online shopping could be a best friend of a smart

consumer, for its features like easy comparison, search for discounts and make purchase through clicks. ‘In a

statistic exposed in Newsbytes Philippines (2015), six out ten of Filipinos purchase a service or a product

online. There has been an increase in the result from 2014 which only has 46% in result. The behavior of

internet shoppers towards purchasing goods or services in the internet is affected by the three main factors: the

age, the social status, and the experience of Internet Shopping. It is more advisable for the e-commerce retailer

to target younger customers, especially ages 14-24 because they are the type of market that are most exposed on

the changes in technology.

Secondly, online shopping retailers can target those markets coming from the middle up to the above

classes of society because they are the usual type of people who have access to the internet. Lastly, the

experience of the consumer in purchasing product or services to internet stores is affecting their behavior on

their next transaction on the said type of stores because this past transaction can give them already a hint on

what an e-commerce stores can give to them. In addition, the researcher also concluded that gender and the

internet exposure even a significant one cannot affect the internet shoppers’ behaviors towards internet shopping

(Bigne, Ruiz & Sanz, 2015).

 There are different factors affecting the online and in-store shoppers purchasing decision because of the

big differences of both online and in-store enterprises in terms of the price, place, product, and process. Online

shoppers are sensitive enough in the price of the products of a particular e-commerce store because they are

expected to have a much lower price compared to in-store enterprises; lower price is caused by fewer expenses.

Second, online shoppers are giving intention to past customers feedback as a reference for the performance of

that online store. Lastly is on the place factor, online shoppers prefer to patronize online store that is accessible

to them (Liu, Burns, & Hou, 2013).

E-commerce

The rapid advancements in information and communication technology during the third industrial

revolution of the late 20th century have marked the beginning of a new era in the retail sector with the

introduction of E-commerce. The dawn of the new century witnessed industry, revolutionizing all areas of

online business by bringing in novel opportunities and possibilities. The worldwide sales of the retail E-

commerce sector recorded 2.3 trillion US dollars in 2017 and is expected to rise around 4.88 trillion dollars by

2021 (Statista 2018). Until the 1960s, the economic models and thoughts on consumer behavior relied on the

assumption of rationality. It was assumed that consumers were always rational in their purchases and therefore

bought products which gave them maximum satisfaction (Le and Liaw 2017). The modern customer has a wide

range of products to choose from, further complicating the decision-making process and consumer behavior

(Trifu and Ivan 2014).

Costs of e-commerce are used in four dimensions; the dimension security measures the cost arising from

the customer’s perception of insecurity in the online transaction. The dimension design represents the cost of the

customer’s learning to perform the traditional purchase act in a format other than the physical context. The

dimension economy quantifies the total economic cost of the transaction. Lastly, the dimension time considers

the cost of convenience by measuring the waiting times during and after the transaction.

Chaing and Dholakia (2014) carried out a study in which they examined the purpose of the customer to

purchase goods online during their shopping. Mainly there are three variables in their study that affect the
consumer to purchase online or to go offline. Those are the accessibility features of the shopping sites, the type

of the products and their characteristics, and the actual price of the product. The study revealed that the

accessibility and the convenience of the shopping sites create the intention in the customer to purchase or not.

When there is difficulty faced by a consumer to purchase online then the customer switches to the offline

shopping for the purchase behavior and the consumer face difficulty in offline purchasing then they go to the

online purchasing. After relating both the medium of shopping the consumer said that online shopping is more

convenient for them and gives more satisfaction which inspires the consumer to purchase online in the internet.

In the Philippine context, according to a study held in the six Southeast Asian markets, there are more

active online shoppers nowadays compared to a year ago. As what Tomlinson (2015), Philippine Visa country

manager, said that E-commerce is becoming a “new normal” in Southeast Asia, as consumers in the region take

to online shopping because of the variety of goods and services available, competitive pricing and improved

delivery options make the whole process much easier. With the rampant use of smartphones, it brought online

shopping to the palm of our hands. Moreover, though the e-commerce in the Philippine is still in its nascent

stage which makes traditional shopping remains on top in terms of buyers, it is indeed still growing rapidly.

Base on the consumer research sponsored by Digital Payments firm PayPal and Ipsos, it is expected that

Filipinos will do more on online shopping starting the year 2018. This conclusion has arisen after the finding in

2017 revealed, it says that Filipino shoppers’ total online spend for that year was P92.5 billion and it has

increased by 32% from the previous year. The three top reasons are cited through the research. 82% of the

respondents said it was because of the convenience of e-commerce, 52% mentioned the multiple online

shopping platforms available, while 45% said it was because they expect faster shipping of orders(De Leon,

2018). According to Chayapa (2011), the process of making decision are very similar whether the consumer is

offline or online but some major differences are shopping environment, layout or marketing communication.

All of this “real world” knowledge is now being placed into the e-Commerce world as your store’s

website layout can be a major influence on customers purchase decisions. E-Commerce merchants must make

their stores as ergonomically friendly as possible while also using opportunities to show customer products and

information that is inviting and interesting (Larkin, 2015). While e-commerce is that of convenience & easiness
which states that buying options are quick, convenient and user friendly with the ability to transfer funds online.

Staying open at any time and any day is the important benefit which consumers can enjoy timings as they can

access websites all the time. Offer huge information that is for consumer to get huge access to information that

is not possible in a physical store. And lastly eliminate travel cost which is now customers do not have to travel

long distances to reach their desired stores as e-commerce allows them to visit e-store anytime without traveling

(Will, 2014).

With 80% of consumers surveyed proclaiming that pricing is an important factor in their purchase

decision, it’s obvious that E-commerce stores must remain competitive when it comes to pricing for it can lead

people’s rationality. Research and market hanalysis about who your competitors are and what pricing they are

offering is indispensable information for every marketer and manager in E-commerce as it is the key to staying

competitive and getting customers to purchase at your store.

Customer Purchasing Decision

Selvakumar (2014) concentrated on consumer’s perception of the product sold online and the issues

considered important to online shopping. This study was conducted among the online shoppers at Coimbatore

which is in Tamil Nadu state. It is to analyze the impact of consumer opinion and attitude. The questionnaire

was made to collect the data from the population; these questionnaires were given to consumers of the selected

area. The total sample size is 150 respondents. The finding of this study shows that improvement and

accessibility influence the customer’s intention to shop online.

In the study of Aniket Khatwani (2016), he come up with a result which leads to know the different

advantages and disadvantages of e-commerce or what we commonly known as online shopping. With e-

commerce there is no driving in circles while looking and digging in hopes of finding what you need. Stores

online offer their full line as well as use warehouses instead of store fronts—products are easy to locate and can

be delivered to your door in just days and without driving from store to store the consumer can easily compare

products. See who offers the best pricing and who has more options to choose from. While a physical store has
limited space, the same store on the internet will have full stock. However, despite these advantages, the

delivery of products is also open for delays.

Tabatabaei (2016) has explored the opinion of the consumer who is purchasing online and the consumer

who are purchasing from offline market. The objective is to know why the traditional customer chooses to shop

online and what are the factors that influence them to purchase online and what are the factor for them to not use

the sites for shopping. He has done a survey of 264 respondents in a small mall and then those data were

analyzed by him. All the customers of this study are literate and have knowledge on computer and internet. The

survey consists some of the questions like demographic profile, computer knowledge and the knowledge over

the internet. The outcome of the study was that the consumers of online shopping use to shop online more than

once in a month and the consumer of offline shopping shop one to five times in a year from shopping sites.

Jush and Ling (2012) found that shopping environments on the internet may be doubtful for most online

shoppers. The majority recognized perceived risks are financial, product performance, social, psychological and

time/ convenience loss. Pew internet and American life project (2018) stated that attitude of internet users about

online shopping are not entirely consistent. Customers are willing to shop online because it is convenient and a

time-saver, but they perceived sending personal or credit card information over the internet as a risk.

The changes of consumer attitude over the decade have reigned over the retailers dig into the psychology

of virtual consumers. Huge investment to grasp virtual consumers has induced the online sellers to go no further

towards the understanding of consumer attitude. Although both government and private sectors have put in

much effort to prosper the virtual shopping platform, traditional stores remain as the instinctive choice for

majority of consumers. Consumers tend to listen to verbal recommendations from close families and relatives,

friends or even the media before making a shopping decision. The consumers also consider it a hassle when they

faced difficulty logging in into the account, product information provided is limited and difficult to reach the

online retailers by phone (Oracle, 2011).

Conceptual Framework
Input Process
 Profile  Survey Questionnaire
 Gender  Data Gathering
 Age  Analysis and
 Civil Status Interpretation
 Social Status
 Shoppers/consumers
description towards
online shopping and Output
traditional/ in-store.
 Accessibility Recommendation
 Convenience towards Traditional
 Better Prices Retail Industry or In-
 Variety store Development and
Growth

Research Paradigm

The figure above shows the variables researchers consider to further explain and enhance the evaluation

of the online shopping effect. The input was divided into three: the profile of respondents, shoppers/consumers

description towards online shopping and traditional store. On the other hand, researchers also measure the

customer experience and customer relationship for the affective element. To gain information within these

variables, researchers will disseminate questionnaires consisting specific questions under the three factors.

Definition of Terms

The following terms are operationally defined for better understanding and clarity.

Traditional Retail- refers to a traditional street-side business that deals with its customers face-to-face in

an office or store that the business owns or rents. (Investopedia, 2018)

 In this study, traditional retail is defined as a way of the respondents in purchasing products or service in

which the researcher would focus on.

E-commerce- Is the buying and selling of goods and services, or the transmitting of funds or data, over

an electronic network, primarily the internet. These business transactions occur either as business-to-business,

business-to-consumer, consumer-to-consumer or consumer-to-business (Rouse, 2017).

In this study, e-commerce is defined as a way of the respondents in purchasing products or services in

which the researcher would like to focus on.

Purchasing Decision- It is the thought process that leads a consumer from identifying a need, generating

options, and choosing a specific product and brand. (The Wharton School, 2017)

The researcher defines the purchasing decisions as the decisions made by the respondents in purchasing

a product or service either of traditional retail or online shopping.

The following terms are conceptually defined for better understanding and clarity.

Advertisement – a notice such as a poster or a paid announcement in the print, broadcast, or electronic media,

designed to attract public attention or patronage.

Buy – To acquire the possession of, or the right to, buy paying or promising to pay an equivalent, especially in

money, purchase.

Consumers – An individual who buys products or services for personal use and not for manufacture or resale. A

consumer is someone who can make the decision whether to purchase an item at the online business and

someone who can influenced by marketing and advertisement.

Competitive – Used to describe situations or activities in which people or firms compete with each other.

Delivery – Is the process of transporting goods from a source location to a predefined destination.

Internet – A means of connecting a computer to any other computer anywhere in the world via dedicated

routers and servers.

Online Business – Is a term can be used for any kind of business or commercial transaction that includes

sharing information across the internet commerce institutes the exchange of product and services between

businesses, groups and individuals and can be seen as one of the essential activities of any business.

Ordering – A confirmed request by one party to another to buy, sell, deliver, or receive goods or services.
 Chapter 3

Methodology

This chapter presents the research design that the researcher used and the reason why this design was

chosen. It also includes the data requirements and how the data has been collected. Also, this chapter discusses

the research instrument, procedures, and statistical data analysis in conducting the study.

Research Design

This study will use the quantitative survey approach of conducting research. Specifically, it utilized a

comparative research design. The main purpose of this research is to know or to determine the purchasing

decisions of consumer in Puerto Princesa City whether to prefer traditional retail or online shopping and mostly

to know the effect of online shopping popularity to the traditional retail or market. Comparative research

essentially compares two groups to draw a conclusion. Researchers will attempt to identify and analyze

similarities and differences between groups or phenomenon.

In this connection, the researchers has chosen this design to identify the frequency and weighted in

buying in traditional shop and online shopping, purchasing products, and purchasing decisions of consumers in

Puerto Princesa City, to conclude the effect between the Online Shopping Popularity to the Traditional Retail

Industry.

The study will be using both primary and secondary data. Primary data will be on the gathered data

through the responses of the purchasing decision of consumers in Puerto Princesa City. Meanwhile, secondary

data will be gathered through electronic journals and similar studies that will be used to support the process and

result of the study.

Population/Sample of the Study

The study will select 40 consumers of Puerto Princesa City for accessibility and convenience of both

respondents and researchers. The consumers will be classified and identified by their age, sexuality, and social

status. The 20 consumers must be 18-50 years old who are into online shopping then go to physical store
(traditional retail) while the remaining 20 consumers are same classification but into traditional market or

physical store.

Locale of the Study

Data Collection Procedure

The researchers will use a prepared 5-point Likert scale survey form or a questionnaire for the

respondents to answer. This questionnaire will be validated by the research adviser. This method will enable the

researchers to acquire information, consumer evaluation, purchasing decisions and other information coming

out during the survey forms prepared. Thus, survey methods ensure the quality of the obtained data and

increases the response rate.

Moreover, after securing the validation, the researchers will acquire a letter of approval from the dean to

conduct the needed survey. After this, the survey will be conducted. Before handing out the questionnaire to the

respondents, the researchers will explain the aim, ethical consideration, and data privacy to ensure that the

respondents understand the goals of the present study.

Instrumentation

The gathering of data in this research will be done using a validated questionnaire.

The questionnaire consists of four parts, the first part consists of personal information such as name which is

optional, which means the respondent can freely state his/her name or not. The second, third and fourth part are

the question proper. The second part includes frequencies of how often the respondents buy through traditional

retail and e-commerce. The third part is a check list that covers products which the respondents prefer to buy

given with the two purchasing channels. The last part of the survey contains purchasing decisions which will tell

the preference of the respondents whether to choose traditional retail or e-commerce.

Permission to conduct the questionnaire will be requested from the office of the researchers’ adviser in

research or the dean. The researcher will be the one to conduct the survey throughout Puerto Princesa City. The

questionnaires will be retrieved after the respondents answered it.

Ethical Consideration

The researchers will ensure that the study followed basic ethical guidelines and will obtain

ethical authorization at Puerto Princesa City. The researchers will acquire approval from the university and

authorized authorities to perform the study.

Data gathering will be done after a session explaining the intention in doing the survey, following the

explanation session with the respondent, the data will be gathered. The goal of the study will be explained

thoroughly, and they will be requested to sign an informed consent form.

It will be made clear to participants that their participation is entirely voluntary and that they can decline

to complete the questionnaire without repercussions. Furthermore, participants will be advised of their right to

remain anonymous and that the information they supply will be kept strictly confidential and the data collected

will be used solely for the purpose of data gathering to complete the study.

Treatment of Data

To interpret and come up with a reasonable result, the researcher will use statistical treatment to evaluate

the gathered data. Since the objective of this research study is to compare or get the effect of two buying

processes which are online and in-store shopping, statistical treatment that measures differences will be used.

Moreover, the researchers will use the Microsoft Excel and Statistical Package for Social Sciences

(SPSS) version 26 for the treatment of the gathered data.

Specifically, under the following descriptive statistical analysis tool:

1. The first statistical treatment that will be used is the Z- test. It is used in the analysis of two different

populations, meaning which variances are unknown.

The formula for Z-test is:

2. The frequency and will be used for the second and third part of the survey questionnaire. This will be

used to tabulate the data on the demographics of the respondents.

3. Weighted Mean will be used to determine the level of preference of the respondents on shopping.
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Needed to do:

Chapter III – Locale of the Study and survey which will be used
Chapter IV – Results and Discussion
Chapter V – Conclusions and Recommendations